Canada’s Next Steps for Temporary Foreign Worker Program

Further to changes announced on August 26, 2024, on September 18, 2024, Employment and Social Development Canada issued a news release with further details related to the changes that will come into effect on September 26, 2024:

  • The 10% employer cap on temporary foreign workers under the Low-wage Stream of the TFW Program will apply across Canada, including occupations that fall under the Traitement Simplifié in Quebec. An exception will be made for employers seeking to fill labour shortages in the healthcare, construction, and food processing sectors, which will be permitted to keep a 20% cap.
  • All Labour Market Impact Assessments (LMIAs) approved for Low-wage Stream positions will be limited to a work duration of a maximum of one year, including those processed under the Traitement Simplifié, except for occupations under the Primary Agriculture Stream.
  • The Refusal to Process (RTP) policy (announced on August 26, as applying to low-wage stream applications) will apply to all Census Metropolitan Areas (CMAs) with an unemployment rate of over 6%. An exception will be made for employers seeking to fill labour shortages in the healthcare, construction, and food processing sectors. The CMA unemployment rate information will be updated four times a year, when the first Labour Force Survey of each financial quarter is published. The list will be updated on the same day that the data is published.
  • Within the next 90 days, further review will be undertaken of the Program (TFWP) , which could result in changes to the High-Wage Stream, to existing LMIA applications for which positions have not been filled, to sectoral exceptions, or refusing to process other LMIA applications, including for rural areas.
Erickson Insights & Analysis

Erickson Immigration Group will continue to monitor developments and share updates as more news is available. Please contact your employer or EIG attorney if you have questions about anything we’re reporting above or case-specific questions.